Big OPEC producers want $60 oil - report

Author: Adam Button | Category: News

WSJ says target price raised

  • Iraq oil minister: "Iraq wants prices to rise to $60. This our aim"
  • WSJ says Saudis and Kuwait also targeting $60

The WSJ is out with a story that's bullish for oil. They say main producers had been seeking $55 per barrel but now want $60. They believe that level will boost their economies without attracting too much US shale drilling.

The higher price target suggests they will support an extension of quotas at meetings scheduled for the end of May.

The target is symbolic, the WSJ says, but "offers a window into how serious they are about using their supply power to affect the market."

The big upcoming event is the Saudi Aramco IPO and that's what is motivating the discipline from the Kingdom.

"They need this price [$60] for the IPO of Saudi Aramco," a person familiar with Saudi oil policy told the WSJ.